Why is Townnews-Sha Co., Ltd. ?
1
Company has very low debt and has enough cash to service the debt requirements
2
Poor long term growth as Net Sales has grown by an annual rate of 3.55% over the last 5 years
3
Flat results in Dec 25
- ROCE(HY) Lowest at 7.54%
- INVENTORY TURNOVER RATIO(HY) Lowest at 21.08 times
4
With ROE of 7.96%, it has a very attractive valuation with a 0.76 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -5.20%, its profits have fallen by -12.1%
5
Below par performance in long term as well as near term
- Along with generating -5.20% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Townnews-Sha Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Media & Entertainment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Townnews-Sha Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Townnews-Sha Co., Ltd.
-5.2%
-0.52
19.36%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality key factors
Factor
Value
Sales Growth (5y)
3.55%
EBIT Growth (5y)
10.53%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.42
Sales to Capital Employed (avg)
0.78
Tax Ratio
29.79%
Dividend Payout Ratio
28.37%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
17.00%
ROE (avg)
7.70%
Valuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.76
EV to EBIT
3.86
EV to EBITDA
3.49
EV to Capital Employed
0.59
EV to Sales
0.49
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
15.35%
ROE (Latest)
7.96%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bearish
Technical Movement
2What is working for the Company
CASH AND EQV(HY)
Highest at JPY 4,243.84 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 15.98 times
-3What is not working for the Company
ROCE(HY)
Lowest at 7.54%
INVENTORY TURNOVER RATIO(HY)
Lowest at 21.08 times
Here's what is working for Townnews-Sha Co., Ltd.
Cash and Eqv
Highest at JPY 4,243.84 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debtors Turnover Ratio
Highest at 15.98 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Townnews-Sha Co., Ltd.
Inventory Turnover Ratio
Lowest at 21.08 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






